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NSE to launch the CNX Bank index
Mumbai: NSE has decided to start a new index CNX Bank, which will comprise of 12 stocks from the banking sector.

The CNX Bank index will be introduced from June 9.

The 12 stocks in the list are Andhra Bank, Bank of Baroda, Bank of India, Canara Bank, Corporation Bank, HDFC Bank, ICICI Bank, Oriental Bank of Commerce, Punjab National Bank, SBI, Syndicate Bank and Union Bank of India.
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Air Deccan IPO on the cards
New Delhi: Domestic carrier, Air Deccan, plans to tap the capital market with an initial public offering (IPO). The airline is yet to firm up its plans regarding the time of the launch, though, with the launch likely for the months of November this year or March next.

The airline hopes to raise between $250 million and $300 million through the IPO. The funds garnered from the IPO will be used not only for funding the airlines aircraft acquisition plans but also for setting up an engineering facility.

The airline is to acquire 12 aircraft this year, including six Airbus A-320's. Besides the airline is to get six ATR 72-500 one of which it is to take delivery of later this month at the Paris Air Show.

The low-cost airline has also approved a plan to offer 10 per cent of the equity to its employees.

Air Deccan hopes to carry four million passengers during the current year and report revenues of Rs1,000 crore. Officials have indicated that the airline was definitely on course to declare a marginal profit during the year.

The airline had done business worth about Rs350 crore during the previous year.
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Warburg ups stake in Max Health
New Delhi: Warburg Pincus has upped its stake in Max Healthcare with a fresh investment of Rs115 crore, and will now hold 23 per cent stake, up from the current 13.8 per cent.

With this second investment in Max Health, made over the past six months, Warburg's total investment in the Max Group now stands at Rs340 crore. The money will be used to fund Max's healthcare project worth Rs600 crore.

Warburg Pincus had earlier invested Rs25 crore in January. The investment coming into the company would go to fund life insurance, as well as small requirements in clinical research and also towards repaying its debt.

Max Healthcare now has four hospitals across the country, and its fifth hospital should be ready in 2006. The healthcare major hopes to recover all its investments within the next two years.
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Provogue IPO for Rs.52-60 crore set for launch
Mumbai: Provogue, an established apparel manufacturer and retailer, is set to raise Rs52-60 crore through an IPO later this month. The issue, priced between Rs130-150, will float over 40 lakh shares of the company.

The money will be used to expand the distribution network and manufacturing capacity, and also add 21 mega stores in the next two years.
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Principal Mutual's Interval fund to tap arbitrage opportunities
Kolkata: Principal MF has lined up an interval fund to tap arbitrage opportunities. The proposed fund will have two plans, one focused on equity and the other on debt.

The funds offer document placed with SEBI states that allocation to equity and equity-related instruments and equity-based derivatives (index futures, stock futures, etc.,) can go up to 75 per cent.

Also, investment in money market and debt instruments can be in the 25-100 per cent range. Unit holders will be given the choice of two options - growth and dividend - with same portfolios. The fund manager will essentially try to identify opportunities that exist between the cash and derivatives markets. Under the debt plan, the exposure to equity and equity-related instruments will be capped at 49 per cent.

The offer document placed with SEBI has also underlined the funds special risk factors, the chief amongst them being that with the scheme being an interval fund, the investors can make redemptions and switch-outs only during specific periods.

As the liquidity of the investments made by the scheme could, at times, be restricted by trading volumes and settlement periods, the time taken by the fund for redemption of units may be significant in the event of an inordinately large number of redemption requests or a restructuring of the scheme.

The offer document also warns that there will be an impact on the scheme's NAV for three years due to the amortisation of the initial issue expenses.

The offer document has also states that trading volumes, transfer procedures, and settlement periods may well be limiting factors for the scheme.
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HDFC picks up stake in Indraprastha Medical
Mumbai: HDFC Ltd has bought out 90 lakh equity shares of Indraprastha Medical Corporation, in a block deal on the BSE on June 2.

This buy out amounts to 9.8 per cent stake of the company.

HDFC officials have said that the acquisition is part of its portfolio investment. The shares were bought at a price of Rs42.90 a share.

As per the BSE Web site, on Monday, TWL Holdings sold 91.51 lakh shares of Indraprastha Medical Corporation at Rs42.92.
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Visaka Industries announces $15 mn issue
Hyderabad: The board of directors of Visaka Industries Ltd, at its meeting held recently, has approved issue of foreign currency convertible bonds / global depository receipts / preferential allotment of shares to the tune of $15 million, with a green shoe option of $3 million.

The company has informed the stock exchanges that the board has also decided to convene an extraordinary general meeting on June 27 to take the approval of its shareholders for the proposed issue.
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